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FitWell Gym is interested in forecasting its monthly membership sign-ups over 12 months. The average monthly sign-ups for the past 12 months are provided as
FitWell Gym is interested in forecasting its monthly membership sign-ups over 12 months. The average monthly sign-ups for the past 12 months are provided as follows:
The gym manager is open to suggestions for forecasting models and decides to try both a linear trend model and an adjusted exponential smoothing model with an alpha of 0.4 and a beta of 0.3.
- Generate forecasts for all 12 months using these techniques and then calculate forecast errors using MAD to determine which is the superior method in this scenario.
- Using the superior method, what is the forecast for Month 13?
What to submit: The final submission must be ONE Excel (or Word or PDF) file with answers to all the questions (one sheet per question).
\begin{tabular}{|c|c|} \hline Month & Sign-ups \\ \hline 1 & 150 \\ \hline 2 & 165 \\ \hline 3 & 140 \\ \hline 4 & 170 \\ \hline 5 & 185 \\ \hline 6 & 175 \\ \hline 7 & 155 \\ \hline 8 & 180 \\ \hline 9 & 200 \\ \hline 10 & 215 \\ \hline 11 & 195 \\ \hline 12 & 225 \\ \hline \end{tabular}Step by Step Solution
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